Space Time Approaches to Measure Sub-National Inequality: Implications for Sustainable Development Goals

Abstract

The United Nations expressed an interest in reducing subnational (i.e., provinces, states) inequality. We propose using a spatial decomposition of the Gini coefficient (SDGC) to track changes in subnational inequality. Typically, agencies do not track summary measures of subnational clustering of development indicators. Tracking changes in the SDGC can help measure and reduce regional inequality. To illustrate the use of the SDGC, we first present data for 93 nations to obtain cross-sectional variation. Next, to illustrate how the SDGC trends over time, changes in the Human Development Index in Mongolia are compared to Russia and China. The SDGC can show improvements, declines, and persistent clustering of subnational level inequality. The SDGC is a useful measure for the United Nations' sustainable development goals.

Keywords: Asia, human development index, spatial inequality, sustainable development goals, regional science

JEL Classification: R12, R58, O18, N35, O19, O2, I32, D63